The FT reports that Vincent and Robert Tchenguiz, the high profile property entrepreneurs, have been arrested as part of an investigation into the collapse of Kaupthing, the Icelandic investment bank.
Enforcement officers from the Serious Fraud Office and the City of London police made the arrests in the early hours of this morning. It is reported that a raid has also been carried out on the offices of Rotch Property, the investment vehicle that controls the brothers' property portfolio.
Additionally eight residential addresses in London were searched (seven men were arrested), and two residential properties in Reykjavik were searched (two men were arrested).
Robert Tchenguiz lost £1BN in one day when the UK subsidiary of Kaupthing collapsed.